Why is having a specific target customer important?

Many businesses follow the “build it and they will come” philosophy of finding their customer base. This is why many businesses fail — they wait for the target customer to find the business and its solution. In the C.O.R.E.℠ Genesis — Start Strong program, client companies (you) build a foundation for:

  • defining your business,
  • identifying your market opportunity (the potential customer base), and
  • become an expert in both.

Also, the more you know about your capability (business concept and how you will solve your customers’ problems), the better positioned your business will be:

  • to use the resources you have efficiently to reach your target customer;
  • to adapt and respond to customer feedback,
  • to leverage success, and
  • to build credibility with the customer.

When you build upon your expertise to focus on the target Customer, you can hone your brand and message to reach that customer. It doesn’t mean you won’t have customers find you or that you would turn them away once they do. It simply means you are going to maximize your impact by narrowing your focus when you market or advertise your solution.

Focusing on the target customer simply means that you are going to maximize your resources impact by having a laser focus on the primary, ideal customer.

Customer Clarity Maximizes Impact

So, a clear picture of your customer increases your chance of success because you are able to:

  • Determine the size of your potential customer base. This is your viability component. If you pick a customer segment that is too small,  your business won’t thrive. Or if you pick a customer segment that is too large, you may not have sufficient resources to serve your customer.
  • Refine your marketing to meet the specific needs of your customer base.
  • Tailor your products, services, and technology to your specific customer; provide the benefits that the customer is looking for.
  • Hone your marketing message, your C.O.R.E.℠ message, to include the right style, tone, and content that your target customer needs to hear.

I can hear your objections. No it isn’t going to limit your potential. The opposite is true. By focusing on a specific customer, you maximize your visibility in the target market. You are position your business with a clear message. That clear message enables the prospect to say “Hey that’s me! I need that!”

Okay I still hear you. It  doesn’t mean that others who aren’t targeted won’t get your message. It also doesn’t mean you have to turn down customers that aren’t in that niche. Again, it simply means you are focusing on a segment of the market to enable your success. You can always add a second target segment after you have had success with your first/primary target market.

So, focusing in on a part of the market, a select segment of the total population of prospects, simply means you have set your sights on the prospects that are most likely to buy your solution.

Specify the Customer, Define Success

Having a specific customer as your focus also enables you to get to know them better­ – what they need, think, do…where they shop, how they buy, what influences them. The more expertise and knowledge you have about your customer, the greater your effectiveness in reaching them and conveying to them why you and your solution is for them.

Therefore, it is critical to your business success to identify the best customer for your business. This best customer is frequently referred to as the “ideal customer”. Every business will have a customer that provides the optimal conditions for making a sale. Therefore, your customer, your C.O.R.E. Customer, is defined by the foundation work you did when creating your business (C.O.R.E.℠ Genesis) . The C.O.R.E. Customer identification process identifies:

  • the customer that fits within the business concept/model,
  • the market opportunities that has the best potential for success – the need/benefit match, and
  • the resources you have available to pursue and serve the customer.

Organic or Cultivated Clients? Which Do You Want?

These days the term “organic” seems ubiquitous.  Organic has come to mean more than the traditional dictionary definition. In this instance, I want to talk about organic growth as it relates to a natural process that is without direct intervention or influence....

Is your Business Performance FINE?

Does your day start something like this? “How are you today?” “Fine.” This is a typical exchange that occurs for most of us daily. A variation is going to a networking event or business function and “How’s business?” “Fine.” But is your business really FINE?...

It IS About the Customer! Know and Serve Them.

Whether our organization is for-profit, not-for-profit, or a government agency, what we do is about the customer. Sometimes we forget that. We get so caught up in "the business" that we lose sight of "the customer." What’s worse is that sometimes we aren't really sure...

Customer Disservice – How to Kill Your Business

Customer Disservice – How About a Hello and a Smile I am constantly amazed at how businesses invest so much time, money, and effort getting customers to literally walk in the door of their business, and when the customer gets there the greeting is less than...

Dishonest Clients – Dangerous and Unprepared

Dishonest Clients After all these years in business, I am still amazed when I encounter a dishonest client. It is doubly confounding when the client is not only dishonest, but also inexperienced and unsophisticated in the intricacies of business. It is especially true...

Sales Constraints – What’s holding us back?

Are you operating at peak performance? Do you spend more dollars for less return? When you invest to expand capacity, does it translate into more results (revenues and profits)? If not, you’re investing in the wrong option. Here are 10 sales constraints: lack of clear...

How to Grow Your Business, One Relationship at a Time – Network!

Grow Your Business — Build Relationships Previously published in MWorld, The Journal of the American Management Association Volume 8, Number 3 Summer/Fall 2009 In today’s economic uncertainty, having a solid network can help your organization. However, it isn’t easy...

Customer Focused?

Is Your Business Customer Focused or Trying to Be All Things to All People? I love the single-cup beverage systems. When I want something to drink, I don’t have to boil an entire pot of water, coffee or tea. I can choose my drink of preference, pop in the single cup,...

Business Concept – Validating Your Idea

Crazy Ideas and Business Concept Many highly successful businesses have been started on ideas other people thought were crazy.  Many unsuccessful businesses were started as "sure things."  How do you know before you start if your idea is worthwhile?  How do you...

Real Customer Service – Going Off Script

There is nothing and I mean nothing that frustrates me, ticks me off, and causes me to stop using a product faster than dealing with the people on the “customer service” lines of businesses. I don’t know about you, but whenever I have an issue and call one of those...
Verified by ExactMetrics